Business
March 5, 2026
A prominent US housing bill moving through Congress carries a surprise addition, a US CBDC ban. This would prevent the Federal Reserve from issuing a government-backed digital dollar until 2030. The restriction wasn’t introduced as a standalone crypto policy measure. Instead, it was attached to the 21st Century ROAD to Housing Act. This is a large bipartisan housing package approved by the Senate in a notable 89-10 Senate vote.
The housing bill itself has nothing to do with CBDC regulation. But lawmakers used it as a legislative medium because it already has strong bipartisan support and a higher chance of passing.
Supporters of the digital dollar ban saw the bill as a practical path forward. Several House Republicans had previously threatened to block the housing legislation unless language restricting CBDC was included. Adding the provision allowed advocates of the ban to move their preferred CBDC legislation through Congress without waiting for a separate vote.
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How The US CBDC Ban And Senate CBDC Vote Reshape Digital Dollar Policy
The section included in the Senate bill is straightforward. It clearly states,
“The Board of Governors of the Federal Reserve System or a Federal Reserve Bank may not issue or create a central bank digital currency, or any digital asset substantially similar to a central bank digital currency, either directly or indirectly through a financial institution or other intermediary.”
For now, the US Federal Reserve hasn’t moved beyond research into a CBDC. The central bank released a detailed discussion paper back in 2022 showing the potential benefits and risks of a digital dollar. But they made it clear that issuing one would require congressional authorization.
Supporters of the restriction say the move protects financial privacy and limits the possibility of government oversight of personal transactions. Cody Carbone, CEO of the Digital Chamber, said in a statement that decisions about launching a CBDC should remain with Congress and the public rather than federal agencies.
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In addition, across the world, interest in digital currencies issued by central banks continues to grow. According to recent data, more than 130 countries representing over 98% of global GDP are exploring CBDCs in some form.
Despite the decisive Senate CBDC vote, the proposal still faces uncertainty. The bill must now move through the House of Representatives, where lawmakers may seek changes to the broader housing package. President Donald Trump has also said he may not sign legislation until Congress advances voter-ID requirements ahead of upcoming elections.
At present, the Senate’s action signals a clear shift in the government’s stance toward a digital dollar, placing a firm pause on any CBDC until at least the end of the decade.
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